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Elective Share
Amendments
(H 807) (SL 2003-296): This bill makes several changes to N.C.G.S.
Chapter 30, Article 1A, the law governing the right of a spouse to
dissent from the deceased spouse=s
will and take an elective share. Clarifying language is substituted
for the definition of
Anonadverse trustee@ and
Atotal net
assets@
to address interpretation problems in determining who qualifies as a
trustee and the amount upon which the elective share is calculated.
Also the definition of
Aproperty
passing to the surviving spouse@
is amended to clarify that the entire value of certain trusts is
included in the calculation of net asset value.
The statute of
limitations is six months from making the election, however, that
language is amended to make clear that if a later will is found that
the six months will run from the filing of that will. The bill also
makes clear that earlier waivers (typically prenuptial agreements)
are still valid even though the statute changed in January 2001.
The section of the
bill that governs the early prenuptial agreements became effective
on July 4, 2003. The remainder of the bill is effective on January
1, 2004, and applies to estates of decedents dying on or after that
date.
Clarify Irrevocable
Trust Law
(S 468) (SL 2003-93): This bill makes clear that when the
beneficiaries of an irrevocable trust seek to modify the trust in a
manner that is inconsistent with the material purpose of the trust
that a court must rule that the circumstances significantly outweigh
the material purpose of the trust before such a modification could
take place. In addition, the procedure section for such an action
is amended to make clear that the trustee shall be a necessary party
to all proceedings where an irrevocable trust may be terminated or
modified.
This act became
effective when it became law on May 30, 2003.
Access to Decedent=s
Safe-Deposit Box
(S 502) (SL 2003-255): This bill creates a new category of person
who may access a decedent=s
safe-deposit box. A deputy is a person appointed in writing by a
lessee or cotenant as having authority to enter the safe-deposit box
without further permission being necessary. This act became
effective when it became law on June 26, 2003.
Uniform Principal
and Income Act
(S 549) (SL 2003-232): Chapter 37 of the
North Carolina General Statutes is repealed and Chapter 37A is
enacted as the Uniform Principal and Income Act. This revised
uniform act establishes general fiduciary responsibilities of the
trustees and personal representative administering estates. The
bill also establishes the criteria for converting an income trust to
a unitrust and imposes certain requirements on trustees in
apportioning trust assets and disbursements between income and
principal.
This act becomes
effective January 1, 2004, and applies to trusts or decedent=s estates existing on or after that date except as otherwise
expressly provided in the will or terms of the trust or in the
provisions of Chapter 37A. |
